Fintech startup Plaid has announced the appointment of Eric Hart, former Chief Financial Officer (CFO) of Expedia, as its first CFO. Despite this move, Plaid has stated that it currently has no plans for an initial public offering (IPO), although it may consider it as a milestone in the future.
Key Takeaway
Plaid, a fintech startup, has appointed Eric Hart, former CFO of Expedia, as its first CFO. While Plaid currently has no immediate plans for an IPO, the appointment reflects the company’s focus on strengthening its financial operations. Plaid aims to further expand its offerings beyond consumer bank connections, with its anti-fraud payments product, Signal, being a prominent example. The startup’s recent funding and valuation reflect its potential for growth in the fintech industry.
In a statement, Plaid CEO Zach Perret expressed his excitement about Hart joining the company and praised his leadership skills and experience in building Expedia into a global platform. Hart, who has over 13 years of experience at Expedia, served as CFO since 2019 and was previously the company’s Chief Strategy Officer, overseeing global strategy, business development, and M&A activities.
Expansion beyond consumer bank connections
Plaid initially gained traction as a company that connects consumer bank accounts to financial applications. However, it has been steadily expanding its range of offerings to provide a comprehensive onboarding experience. Its growth efforts have been driven by diversifying revenue streams, including the introduction of its anti-fraud payments product, Signal, which has been in the market for approximately 10 months.
Signal analyzes $3 billion worth of bank payments monthly, bolstering Plaid’s mission to facilitate faster, easier, and safer payments. The company aims to power 2 billion bank payments, representing a doubling of volume from the previous year, and process transactions worth $10 billion in value.
Plaid’s funding and workforce
Plaid gained significant attention in 2020 when it agreed to be acquired by Visa for $5 billion. However, the deal was cancelled after facing regulatory challenges related to antitrust concerns. Subsequently, Plaid secured funding at a valuation of $13.4 billion. With more than 1,000 employees, the company continues to grow its workforce.
